The Chilean retail company Falabella is set to launch mobile virtual network operator (MVNO) services using the network infrastructure of Chilean mobile operator Entel. Named Falabella Móvil, the MVNO will focus on Falabella’s existing customers, offering customized solutions and quick access to Falabella stores.
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Gaston Bottazzini, corporate manager of Falabella Financial, said that main challenge in launching MVNO services is to deliver a service that is smart and different, while taking advantage of the knowledge the company already has of its customers’ needs through through their in-store relationship and the Falabella’s fidelity card.
In the partnership’s announcement, Entel general manager Antonio Büchi said that carrier annually invests nearly U.S.$500 million on network improvements and expansion.
Falabella Móvil plans to use existing commercial infrastructure for its operations. The new business unit will be located under Falabella Financial, which today includes the CMR (private credit card), Banco Falabella, Falabella Seguros (Insurance) and Viajes Falabella (travel).
Interest in launching MVNOs in Latin America has been building for some time, as noted in RCR Wireless News feature report (check it out here). In Chile, Falabella will face competition from the already-launched Virgin Mobile services. Chile inaugurated Virgin Mobile operations in Latin America—with Brazil and Colombia soon to follow.
